Answered step by step
Verified Expert Solution
Question
1 Approved Answer
these are my last 3 questions, this is my last one for chegg Question 34 (1 point) XTREME BILLIARDS BUDGET PROBLEM: Xtreme Billards manufactures pool
these are my last 3 questions, this is my last one for chegg
Question 34 (1 point) XTREME BILLIARDS BUDGET PROBLEM: Xtreme Billards manufactures pool tables. Below are Xtreme Billiards' actual 2021 results. Where applicable, the 2021 per unit revenues and costs are shown in parentheses. Assume that materials costs are expected in increase by 6% and labor costs are expected to increase by 10% in 2022. All other costs are expected to increase by 5%. Xtreme Billiards' 2022 tax rate is expected to be -25%. The company expects to increase its selling prices by 5% in 2022 and expects to produce and sell 25,000 pool tables in 2022. 2021 2022 ACTUAL BUDGETED Performance Performance Sales Revenue ($2,000 per table in 2021) $44,000,000 Variable Costs Direct Materials ($450 per table in 2021) 9,900,000 Direct Labor ($850 per table in 2021) 18,700,000 Fixed Costs Indirect labor 4,300,000 Advertising & Other Miscellaneous 4,525,000 Income Taxes 1,645,000 ??? Profit $4.930,000 What is the budgeted Income Taxes cost for 2022? $1,657,300 $1,727.250 $1,929,688 $2,105,250 Question 35 (1 point) XTREME BILLIARDS BUDGET PROBLEM: Below are Xtreme Billards' actual financial results for 2021. Xtreme Billards prepares flexible budgets. If the company wants to compute revenue and cost variances for 2021, they should compare their actual 2021 performance with budgeted 2021 performance at a production level of pool tables. 2021 ACTUAL Performance $44,000,000 9,900,000 18,700,000 Sales Revenue ($2,000 per table in 2021) Variable Costs Direct Materials ($450 per table in 2021) Direct Labor ($850 per table in 2021) Fixed Costs Indirect Labor Advertising & Other Miscellaneous Income Taxes Profit 4,300,000 4,525,000 1,645,000 $4,930,000 22,000 2,000 20,000 25,000 H Question 36 (1 point) The difference between actual revenue and budgeted revenue is referred to as the revenue variance. True False Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started